Google is set to face EU charges for breaching Big Tech rules as its changes to search results failed to satisfy the EU antitrust regulator and rivals. The European Commission has been investigating Google since March for possible violations of the Digital Markets Act, particularly regarding favoritism towards its own services. Many rivals find Google's recent changes inadequate, and charges may follow decisions on investigations into Apple and Meta.
The U.S. Supreme Court declined to hear Meta's appeal to avoid a class action lawsuit from advertisers accusing the company of inflating ad reach. A lower court's ruling allows advertisers to seek damages collectively, alleging Meta misrepresented the potential audience for their ads. Plaintiffs argue that Meta's estimates were misleading, potentially costing them over $7 billion. Meta contends that the court's approach differs from other federal appeals.
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Canada has ordered the shutdown of TikTok's business in the country due to national security risks but will not block access to the app or content creation. The decision follows a review of TikTok's investment plans and advice from security agencies. TikTok plans to challenge the order in court, arguing it will harm local jobs. Canada has already banned TikTok on government devices. The U.S. has also taken steps to limit TikTok's operations.
Oracle will pay $115 million to settle a lawsuit accusing it of invading privacy by collecting and selling personal data. Filed in San Francisco federal court, the settlement requires a judge's approval. Plaintiffs claimed Oracle created unauthorized digital dossiers on browsing, banking, and shopping habits. Oracle denied wrongdoing but agreed to stop collecting certain user data. The settlement covers data collected since August 2018.
Google parent Alphabet decided not to pursue a takeover of online marketing software company HubSpot weeks ago. Talks between the companies never advanced to due diligence and ended after initial discussions. HubSpot's shares fell 12% while Alphabet's rose 1.2%. A potential $25 billion deal would have been Alphabet's largest and faced antitrust scrutiny. HubSpot specializes in inbound marketing, but customer demand has weakened due to economic concerns.
Google faces a complaint from Austrian group NOYB for allegedly tracking Chrome users without proper consent despite its Privacy Sandbox initiative aimed at protecting user privacy by phasing out third-party cookies. NOYB claims users were misled into accepting Google's first-party ad tracking. Google defends its Privacy Sandbox, stating it enhances privacy and complies with regulations. The complaint was filed with the Austrian data protection authority.
LinkedIn will no longer allow advertisers to target users based on data from LinkedIn Groups in the EU. This decision follows a complaint by civil society groups to the European Commission over potential violations of the Digital Services Act (DSA). The DSA, effective since February, mandates strict governance for online content and user data. LinkedIn aims to prevent ads from indirectly targeting users based on sensitive data like race or political views.
Major educational publishers Cengage, Macmillan Learning, McGraw Hill, and Elsevier have sued Google, accusing it of promoting pirated copies of their textbooks. The lawsuit, filed in the U.S. District Court for the Southern District of New York, claims Google ignored copyright-infringement notices and profited from pirated e-books. This case could impact the $8.3 billion U.S. textbook market and raise concerns about ad integrity and competition.
TikTok is developing a separate recommendation algorithm for its 170 million U.S. users to operate independently from its Chinese parent, ByteDance. This move aims to address U.S. lawmakers' concerns and potential bans. Despite TikTok's public denial, engineers are working to split the code, which could take over a year. The project may lead to a divestiture of U.S. assets, although no current plans exist.
